The volume and dominance of Bitcoin is increasing, meanwhile, the cryptocurrencies Ethereum, Chainlink and Binance coin are having problems, according to analysts from Santiment.
The performance of altcoins has been heavily overshadowed by the huge growth of BTC, a behavior that has been repeated historically.
In bull markets, Bitcoin has been the first to experience a volatile rise, and after it manages to mark a high or an all-time high, then the other participants in the ecosystem take flight.
Analysts expect something similar to happen in the bull cycle that we are witnessing. As long as BTC fails to complete its rally, we will hardly see other cryptocurrencies resume their uptrend.
Bitcoin’s dominance has gone from 56% in mid-September to 63.4% currently.
With this growth, the migration of capital from altcoins to the largest is evidenced when it increases; But when BTC falls, the entire market falls together, putting altcoins in a precarious position.
Ethereum should rally against Bitcoin soon for us to see an altseason
The pseudonym trader DonAlt, Indian Through his Twitter profile that he is trading against Ether.
It ensures that in the absence of an early recovery of Ethereum against Bitcoin, a broader pullback of the altcoins is possible.
In his tweet he exposes that the ETH BTC pair is approaching relevant support, so there is a good chance of a bounce soon. If it does not happen, we will see a rather aggressive fall in alternative cryptocurrencies.
Overall, we should expect Bitcoin’s volatile rally to cool down for the others to gain ground. A consolidation of the BTC would be an important sign of the beginning of an altseason.
Ethereum price technical analysis
Even ETH is not too bad to look for an annual high in the near future. Its medium-term trend is intact, and has been maintained in recent weeks trying to resume it, still without much success.
The moving averages 8 EMA and 18 week SMA are crossed to the upside, and working as dynamic supports while trying to start a new bullish momentum.
There are currently no bearish signals on the ETH vs USDT weekly chart, but we could continue to see price stagnation for some time to come.
In order for the bulls to lose control of the medium-term trend, the support at $ 310 must be broken.
At the top, immediate resistance is at $ 486. Crossing this level would clear the ground up to $ 619.
In this time frame we continue to see a succession of increasingly higher lows and highs, indicating a short-term uptrend.
This trend is being tested, but has not yet been violated. If lost, the price of ETH could be again entering the lateral range between $ 385.30 and $ 310.
The moving averages EMA of 8 and SMA of 18 days are still crossed to the upside, but approaching with the passing of the hours due to the defiant behavior of the bears.
The 200-day SMA is currently bullish, supporting Ethereum’s strong gains during the current year, obtained in a trend in which the entire market benefited, including Bitcoin.
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